Investors Purchase 50,000 Bitcoins in Five Days

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Investors Purchase 50,000 Bitcoins in Five Days

Investors are starting to hoard Bitcoin in hopes of receiving Christmas presents in the form of a Bitcoin surge. According to data from the crypto market analysis platform Sentiment, over the past five days, 47,888 BTC were bought by the largest holders of cryptocurrencies.

The accumulated number represents 0.24% of the total Bitcoin supply. What is also interesting is that the large accumulation was preceded by 13 months of a large drop in the price of Bitcoin, a particularly strong phase of which occurred this November and was associated with the cataclysmic events surrounding the crypto exchange FTX.

According to data from Santiment, during the first three weeks of November, whales holding between 100 and 10,000 BTC sold about 1.36% of this digital asset.

Will the market experience a New Year's jump?

The current volume of procurement is still several times lower than the volume of sales during November.

This fact suggests that Bitcoin whales have decided to start hoarding Bitcoin under the assumption that the market will experience a New Year's spike, which usually hits financial markets in December. Then on the financial markets, the so-called Santa Rally.

Translated from English, it is a calendar effect that includes the growth of stock prices during the last 5 trading days in December and during the first 2 trading days in January. Not only large wallets are piling up, but also smaller ones — holding between 0.1 and 10 BTC.

The number of such addresses reached an all-time high just two days ago. Analysts assume that market prices will be on the rise during December, and whales are likely to accumulate BTC during price rises, only to be able to sell it at a significantly higher price.

The struggle for survival after the collapse of FTX

Binance CEO Changpeng Zhao has emerged as a new savior-like figure for the ailing industry, filling the void left by Bankman-Fried, whose firm bought or invested in a number of beleaguered crypto companies, from Voyager Digital to BlockFi, before the collapse.

The fund will be publicly visible to Binance's CEO, and contributors will send funds to a central, transparent blockchain address. Zhao also noted that the fund is expected to start operating before the end of 2022, while presenting a six-month road map within which he expects the industry to recover.

The report also states that Binance.US is interested in a new bid for assets belonging to the now-bankrupt Voyager Digital. The lending company was one of several companies that collapsed following the collapse of Terra in May 2022.

Zhao said that FTX has invested in a number of projects, some of which may be salvageable and interesting if and when they become available.